Investment & Fund Management
The European Investment
Full Credential Description
The European Investment Fund (EIF) partnered with Austria Wirtschaftsservice (AWS) to address the financing challenges faced by small and medium-sized enterprises (SMEs) in Austria. The specific issue was the limited access to finance for start-ups and established companies, which was exacerbated by high guarantee fees and insufficient guarantee volumes.
To tackle this, the EIF and AWS signed a CIP loan counter-guarantee agreement under the Competitiveness and Innovation Programme (CIP). This agreement allowed AWS to increase its guarantee volumes, thereby facilitating easier access to finance for SMEs. The tailored solution involved generating a new portfolio of guarantees worth up to EUR 180 million over the next two years, significantly enhancing the financial support available to businesses in the region.
As a result of this initiative, AWS is expected to support approximately 5,000 SMEs annually through various financial instruments, including guarantees, loans, and grants. This collaboration not only aims to boost the productivity and innovation capacity of SMEs in Austria but also aligns with broader EU objectives of fostering entrepreneurship and sustainable growth.